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DMCI Power bags contract to supply Palawan, plans diesel-fed facility

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MANILA - The power generation unit of the Consunji group won the right to supply Palawan's electricity requirements.

Nestor D. Dadivas, DMCI Power Corp. president, told reporters that the company will put up a 27-megawatt diesel plant in the tourist hub after successfully bidding for the power supply of local distribution utility, Palawan Electric Cooperative.  

"They said we have to supply by September 2013. We will complete it by [then]," he said.

Paleco had auctioned off the contract to supply 25-megawatts of generating capacity to replace its lapsed supply deal with National Power Corp. amid a projected growth in demand. 

DMCI Power offered P9.38 per kilowatt-hour.

Besides the diesel plant, the company may also put up two 15-megawatt coal plants on the island in 2013 and 2014, depending on Paleco's growth forecast, Dadivas said.

The proposed coal plant will serve as N-1 contingency or back-up in case the diesel plant trips or is cut from the Palawan mini-grid.

Palawan's supply has been tight as of late owing to delays in the bidding of the new supply contract, which was earlier blocked by a spurned bidder.

Without the additional capacity, Paleco had to call on big customers to voluntarily switch off from the grid the past two months as a stop gap measure after the plants of current suppliers, Palawan Power Generation Inc. and Delta P, Inc., broke down.

 

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